Embezzlement is a serious offense involving misappropriation of funds for personal gain. This crime can disrupt regular business dealings and cause your company to suffer direct losses.
Resolving this kind of theft can be challenging within a partnership.
Legal remedies
Managers commit 85% of embezzlement cases. One-fifth of these incidents involve a chief-level executive. If your Florida partner misuses business capital, you must know your available legal options.
- Report the crime: Contact your local law enforcement agency to file a police report. Include all relevant information, a description of the person’s actions and any available evidence.
- File a civil lawsuit: This legal action can help you recover the misappropriated funds and any additional damages you may have suffered.
- Utilize mediation or arbitration: In some cases, you can resolve embezzlement disputes through mediation or arbitration. Mediation uses a neutral third party to help both parties reach an agreement. Arbitration involves a third party who hears the evidence and makes a binding decision. These methods can be less formal and less costly than a court trial.
- Dissolve the partnership: This process may be a necessary option. Partnership agreements often include clauses that address disputes and dissolution procedures. If such clauses exist, follow the outlined steps to liquefy the partnership legally.
Taking immediate action is essential in these situations.
Other legal options
You may need to obtain a court order to reclaim assets that rightfully belong to your business. There are legal proceedings to help you seize misappropriated property.
In addition to pursuing civil remedies, you can press criminal charges against the embezzler. If the evidence is sufficient, your partner may face prosecution.
Embezzlement can be a devastating experience for you and your business. Legal actions provide a path to resolution and compensation when a partner’s misuse of funds threatens your financial security.
